Core Inflation In The Euro Zone At An All Time High

Particularly in Europe, solutions to inflation figures have been sought for a long time. The war between Russia and Ukraine, the preceding cattle epidemic, drought and energy problems have caused inflation to rise significantly worldwide. Undoubtedly, the echo of this situation was felt in many regions, especially in the eurozone.

Core Inflation On The Upswing

In January, the core inflation rate in the euro zone was revised upward from 5.2% to 5.3%, reaching an all-time high. The European Statistical Office (Eurostat) released the eurozone inflation figures for January.
According to the report, core inflation reached 5.3%, above the previous estimate of 5.2%. The monthly decrease of 0.2% was in line with forecasts.

Core Inflation In The Euro Zone At An All Time High

What Is that?

Core inflation is an indicator that excludes out-of-control, exogenous, and seasonally fluctuating items such as food and energy.
The headline inflation rate, which includes food and energy, rose 0.1 percentage points to 8.6% after the release of the latest German data, which were above initial forecasts. According to Eurostat, the war in Ukraine has exacerbated the price shock triggered by rising energy costs in Europe.
Updated figures showing that inflation in the eurozone hit a record high in January supported the European Central Bank’s (ECB) intention to raise interest rates by another half percentage point next month.
At their latest meeting, officials led by ECB President Christine Lagarde decided to raise the deposit rate to 3% from 2.5%.

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Andres Crow-Hreidar

Editorial Director Hi there, my name is András and I'm a business and finance journalist living in Norway. My passion lies in uncovering the latest stories in the world of finance and delivering them to my readers in a way that's clear and engaging. I cover a wide range of topics in the finance world, including cryptocurrencies, which I believe have the potential to transform the way we interact with money and financial systems. As a journalist, I'm committed to providing my readers with accurate and reliable reporting. I believe that access to high-quality information is essential for making informed decisions, whether it's about personal finances or investments. When I'm not writing about finance, I enjoy a variety of hobbies and interests.

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